FROM SHORT-TERM
TO LONG-TERM
SOLUTIONS
ACROSS ALL LOAN STRUCTURES, ACROSS THE PROPERTY LIFE CYCLE
We are there with a diverse range of financing products and services.
FROM SHORT-TERM
TO LONG-TERM
SOLUTIONS
ACROSS ALL LOAN STRUCTURES, ACROSS THE PROPERTY LIFE CYCLE
We are there with a diverse range of financing products and services.
OPERATING PLATFORM
VERTICAL INTEGRATION
One of 3650 REIT’s key differentiators is our operating platform. It was built on a vertically integrated structure, empowering our team to conduct services and material credit decisions internally. We do not simply source opportunities. We work with sponsors to devise the right plan for achieving beneficial results for all participants.
Keeping the full process in-house provides a value proposition. It helps us streamline borrower communication and the tactical execution of our loan and equity investment strategy. In a long-term sense, it facilitates better borrower outcomes and strong relationships with high-quality sponsors.
OVERVIEW
LOAN SERVICING
Our loan servicing team is backed by decades of experience in commercial real estate, including finance, distressed assets and development. It lends us the business acumen to creatively and individually structure loans to meet the business objectives of borrowers – whether they require short- or long-term finance solutions.
Driven by our customer-centric platform, we are committed to servicing borrowers in the way they deserve. We aim to deliver market leading levels of responsiveness and transparency through every stage of the loan process.
OVERVIEW
BRIDGE & EVENT DRIVEN LENDING
We specialize in shorter-term bridge and event-driven lending for borrowers pursuing ground-up construction, acquisitions, repositionings, recapitalizations, or the restructuring of partnerships.
Through our lending strategy, we originate senior and mezzanine loans and preferred equity commercial real estate investments.
OVERVIEW
BRIDGE & EVENT DRIVEN LENDING
We specialize in shorter-term bridge and event-driven lending for borrowers pursuing ground-up construction, acquisitions, repositionings, recapitalizations, or the restructuring of partnerships.
Through our lending strategy, we originate senior and mezzanine loans and preferred equity commercial real estate investments.
OUR DIFFERENTIATED APPROACH
STRATEGIC SHORT-TERM STRUCTURING
DIRECT ORIGINATION
HANDS-ON DILIGENCE & UNDERWRITING
BESPOKE STRUCTURING PROCESS
SERVICE BORROWER RELATIONSHIPS
CONTINUOUS HIGH-TOUCH ATTENTION
SENIOR INVESTMENTS | SUBORDINATE INVESTMENTS | |
STRUCTURE | Senior Secured Loans | Mezzanine Debt & Preferred Equity |
LOAN TO COST | 75% - 85% | 75% - 85% |
LOAN TERM | 1 – 5 years | 1 – 5 years |
LOAN SIZE | Minimum $15 million | Minimum $10 million |
INTEREST RATE | Fixed (starting at 8.5%) | Fixed (starting at 12%) |
GUARANTEES | Non-recourse with standard "bad-boy" carve-outs and completion guarantee | |
LOCATIONS | Primary, secondary, and tertiary MSAs within the United States | |
PROPERTY TYPES | All asset classes, including construction | |
OVERVIEW
TRANSITIONAL LENDING
We provide bespoke, floating-rate financing solutions for borrowers taking out construction financing, pursuing repositioning, or otherwise executing value-add business plans with a clear path to stabilization.
OVERVIEW
TRANSITIONAL LENDING
We provide bespoke, floating-rate financing solutions for borrowers taking out construction financing, pursuing repositioning, or otherwise executing value-add business plans with a clear path to stabilization.
OUR DIFFERENTIATED APPROACH
VALUE-ADD FOCUSED LENDING
DIRECT ORIGINATION
HANDS-ON DILIGENCE & UNDERWRITING
BESPOKE STRUCTURING PROCESS
SERVICE BORROWER RELATIONSHIPS
CONTINUOUS HIGH-TOUCH ATTENTION
Vigilant communication and monitoring of transitional loans.
TRANSITIONAL LOAN PROGRAM | |
STRUCTURE | Senior Secured Loans |
LOAN TO VALUE | 55.0% - 75.0% |
LOAN TERM | 2 – 3 year initial terms with extensions |
LOAN SIZE | Minimum $20.0 million |
INTEREST RATE | SOFR + 350 - 550 |
GUARANTEES | Non-recourse with standard "bad-boy" carve-outs and completion guarantee |
LOCATIONS | Primary and secondary MSAs within the United States |
PROPERTY TYPES | All asset classes, including but not limited to, multifamily, retail, office, mixed-use, self-storage, hospitality, and industrial |
OVERVIEW
STABLE CASH FLOW LENDING
Our long-term fixed-rate lending program mirrors the lender service package of traditional portfolio lenders, while delivering terms on par with capital markets lenders. It is a new and superior alternative to the service structure of CMBS conduit lenders.
OVERVIEW
STABLE CASH FLOW LENDING
Our long-term fixed-rate lending program mirrors the lender service package of traditional portfolio lenders, while delivering terms on par with capital markets lenders. It is a new and superior alternative to the service structure of CMBS conduit lenders.
OUR DIFFERENTIATED APPROACH
DRIVING LONGSTANDING RESULTS
CUSTOMER OUTCOME FOCUSED
RELATIONSHIP LENDING
Loans originated and held on balance sheet throughout the life of a loan.
INTERNAL DECISION MAKING
All material credit, post-closing and servicing decisions made internally.
RETAINED SERVICING
Flexibility to respond to the borrower’s needs for lease assumptions, reciprocal easements, loan assumptions, and more.
INCENTIVE ALIGNMENT
Profit model based on maintaining stable credit performance.
BIGGER CREDIT BOX
Creative use of capital provides vast optionality to borrowers with stabilized properties.
MATCHED-TERM FINANCING
Issuance of “perfectly” matched secured liabilities to provide competitive proceeds and pricing to our borrowers.
SENIOR LOANS | |
LOAN STRUCTURE | Senior Secured Loans |
LOAN TO VALUE | Up to 75% |
LOAN TERM | Primarily 10 years |
LOAN SIZE | Minimum $3 million |
INTEREST RATE | Fixed Rate (spread pricing over appropriate Swap Yield or Treasury Yield) |
AMORIZATION | 30-year schedule (interest-only available on a case-by-case basis) |
MINIMUM DSCR | 1.25x (1.20x for multifamily or high-grade assets) |
MINIMUM DEBT YIELD | 8% (7.5% for multifamily or high-grade assets) |
ORIGINATION FEE | Par/None |
RESERVES | Typical reserves for capital markets loans (Tax, Insurance, TI/LC, Capex) |
PREPAYMENT | Defeasance or Yield Maintenance |
GUARANTEES | Non-recourse with standard “bad-boy” carve-outs |
LOCKBOX & CASH MANAGEMENT | Springing or In-place (case-by-case) |
MEZZANINE FINANCING | Permitted on a case-by-case basis |
EARLY RATE LOCK | Available on a case by case basis subject to a deposit and rate lock agreement |
LOCATIONS | Primary, secondary, and tertiary MSAs within the United States |
PROPERTY TYPES | Office, industrial, multifamily, hospitality, storage, retail, MHC & senior housing |
OVERVIEW
SPECIAL SITUATIONS
We provide equity and structured capital solutions to lenders, borrowers, and sponsors for broken capital structures, loan purchases, value-add business plans on well positioned CRE projects across North America and asset classes.
OVERVIEW
SPECIAL SITUATIONS
We provide equity and structured capital solutions to lenders, borrowers, and sponsors for broken capital structures, loan purchases, value-add business plans on well positioned CRE projects across North America and asset classes.
OUR DIFFERENTIATED APPROACH
CREATING ALPHA THROUGH MARKET SELECTION, BASIS, STRUCTURE, ASSET MANAGEMENT, AND EXIT
DIRECT SOURCING
Long-standing, deep relationships with lenders, intermediaries, special servicers, borrowers, and developers
SUPERIOR DILIGENCE AND UNDERWRITING Diligence
Robust market knowledge and focus on long term asset viability and sponsor strength
CREATIVE STRUCTURE AND SOLUTIONS
Risk mitigation and value creation through durable and dynamic capitalization structures
ASSET MANAGEMENT ADVANTAGE
Leverage organizational scale into hands-on, asset-by-asset business plans that reflect deep operational and development experience and expertise
EXIT
Investment llfe-cycle focus on maximizing investment returns through timely asset dispositions when value creation has been achieved.
SPECIAL SITUATIONS | |
STRUCTURE | Mezzanine debt, preferred equity, and equity |
INVESTMENT TERM | 3-7 years |
INVESTMENT SIZE | Minimum $20MM |
SPONSOR CO-INVEST | 5% of total project equity |
LOCATIONS | North America |
PROPERTY TYPES | All asset classes, including but not limited to: multi-family, office, mixed-use, self storage, data center, hospitality, and industrial |